Barney & Barney LLC

A captive insurance company, or captive, typically refers to an insurance company that provides insurance to, and is controlled by, its owners. Its purpose is to provide insurance coverage for some or all of the captive owners’ risk.

The advantages of forming a captive insurer include:

• - Reduced cost
• - Greater access to insurance and reinsurance
• - More control over managing risks
• - More efficient use of financial resources

These alternative risk transfer mechanisms may act as a reinsurer and can be domiciled onshore or offshore. To provide for contractual insurance requirements, captives quite frequently acquire the assistance of a “fronting company” to provide licensing, and provide for contract or lending requirements. Typically:

• - The captive purchases specific and aggregate reinsurance
• - After deducting expenses, premium is ceded to the captive
• - A loss fund is established to pay claims

Barney & Barney’s Captive Capabilities

With a century of experience, Barney & Barney has the ability to develop innovative products that are outside the mainstream of insurance for clients with non-traditional needs. Because we have developed and managed our own captives in-house, rather than contracting out, we are able to handle all aspects of captives from beginning to end.

We develop custom insurance programs from the ground up by bringing together strategically contracted providers, including:

• - Insurance Carriers
• - Reinsurance and Intermediaries
• - Independent Claims Adjustors
• - Specialized Loss Control
• - Actuarial Services
• - Captive Managers

Determining if a Captive is the Right Solution

We work with our clients to determine if a captive is the right solution for them. This determination process includes:

• - Pre-feasibility Analysis
• - Feasibility Study
• - Actuarial Study
• - Pro Forma
• - Domicile Selection
• - Incorporation
• - Initialize Capitalization

Together we can take your captive project from design to implementation.